Auto

Auto Insurance Coverage

If an auto accident occurs auto insurance will protect the insured from the financial loss. A premium is included in the agreement for the insured to pay and in return the insurance company will pay for the remaining loss expenses. The coverages included with auto insurance are property, medical, and liability coverage. Property coverage will pay for theft and damages to your vehicle. The payment issued for injuries and lost wages is covered through medical coverage. The liability includes the insurer paying for property damage and injuries. Most states but not all require auto insurance.

Auto Coverages
1. Bodily Injury Liability: Covers injuries for others that are caused by the policyholder. This includes other members of the family that are included in the policy.

2. Property Damage Liability: Pays for damage that is caused by the insured that is done to another person’s property. In most cases it covers damage to the other persons car, but it will also include other third party damages like poles, buildings, fences, or other properties damages.

3. Personal Injury Protection: This coverage is for medical payments and injuries that occur to the policyholder, driver, and passengers. It will cover payments for medical bills, service replacements, and lost wages.

4. Uninsured/Underinsured Coverage: This is a reimbursement coverage for you, the driver, or a family member that is involved in an accident with an uninsured driver or hit-and-run. If the at-fault driver’s insurance policy will not cover all damages than this policy will take over.

5. Comprehensive: Reimbursement for damages or theft from an act of nature or unexpected disaster. For example, a fire, earthquake, flood, windshield, or even animal accidents. There is a small deductible that is collected before the insurance will cover damages.

6. Collision: The coverage will pay for damages due to an accident or collision with another car. Potholes are included as a collision damage. The collision deductible is generally higher than the comprehensive deductible. This is collected whether the insured is at fault or not. If not at fault, the insurance company will try to recover your deductible for reimbursement from the other insurance company. It is important to have collision because it pays for the cost to repair the vehicle.